Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

a.)Martha Company incurred the following expenditures to buy a new machine: Invoice, $ 29,000 less 11% cash discount. Freight charges, $ 510 Assembly charges, $

a.)Martha Company incurred the following expenditures to buy a new machine:

Invoice, $ 29,000 less 11% cash discount.

Freight charges, $ 510

Assembly charges, $ 1,000

Special base to support machine, $ 505

Machine dropped and repaired, $ 370 .

What is the actual cost of the machine ?

b.)If Lee Silver depreciated his truck by the units-of-production method, calculate the first year's depreciation based on the following: (Round the depreciation rate to the nearest cent. Round the first year's depreciation to the nearest dollar.)

Cost $ 7,620

Residual value

$ 2,400

Estimated mileage 58,000

The truck was driven 7,200 miles in year 1.

The first year depreciation is ?

c.)Lee Ring depreciates his truck by the straight-line method. Calculate the yearly depreciation expense given the following:

Cost $ 7,600 Residual value $ 2,200 Service of useful life 5.5 years (Round to the nearest cent.) The annual straight-line depreciation is ?

d.)If Bob Grass depreciated his truck by the double declining-balance method, calculate the depreciation expense for year 1.

Cost $ 7,200 Residual value $ 2,400 Service of useful life 5 years

The depreciation for year 1 using double declining-balance is ? . (Round your answer to the nearest cent.)

DOING A TEST AND NEED THESE ANSWERS. PLEASE RESPOND TO ALL I JUST NEED ANSWERS THANKS

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing A Practical Approach

Authors: Robyn Moroney, Fiona Campbell, Jane Hamilton

4th Edition

0730382648, 978-0730382645

More Books

Students also viewed these Accounting questions

Question

denigration of emotional outbursts; being reserved;

Answered: 1 week ago